A Separability Foundation for Random Coefficients Logit
Theoretical Economics
2026-05-18 v4
Abstract
We study stochastic choice across decision problems, each represented as a menu of action labels paired with observable outcome vectors. We propose a consistency condition for behavior in decision problems composed of two separable components: choice probabilities must agree with those obtained when each component is considered in isolation. Together with monotonicity and continuity, this separability requirement characterizes the family of random coefficients logit rules.
Cite
@article{arxiv.2312.04827,
title = {A Separability Foundation for Random Coefficients Logit},
author = {Fedor Sandomirskiy and Po Hyun Sung and Omer Tamuz and Ben Wincelberg},
journal= {arXiv preprint arXiv:2312.04827},
year = {2026}
}
Comments
46 pages